Market risk is the possibility for a trader to experience losses due to factors that affect the overall performance of the financial markets in which he is involved. Most of the traders may have insufficient time to monitor the financial market price chart to detect a suitable spot for placing their orders. Even with sufficient time, other traders could not monitor a desired symbol and pair within the set of symbol and pair in the price chart. Most of the traders find it difficult to calculate the effect of each symbol and pair on other symbols and pairs. The trader requires years of profound experience and financial knowledge to place the orders on distinguishing technical analysis patterns and applying a valid strategy on desired symbol and pair by combining multiple strong indicators and other trading tools.
The technical analysis and trading signals are generated based on strategies, which must be developed by accurate and effective indicators and trading patterns in a system. The technical analysis and trading signals were developed in the existing system based on the highest strategies that could lose their success rate as time passed due to their static and fixed structure. Further, these existing technical analysis and trading signals are generated on very limited number of patterns and indicators with static strategies.
An experienced trader also detects the suitable spot for placing the orders based on the analysis of multiple financial experts and current trends through news and economic conditions. Prior art systems are unequipped with suitable means for utilizing fundamental analysis from the financial experts, which could be implemented on the generated trading signals and technical analysis.
The unexpected results from the economic or breaking news is unaccounted on real-time basis in the conventional systems. News and economic conditions were also never utilized and implemented on the generated trading signals and technical analysis in the conventional systems. Further, the conventional systems could not evaluate the correlation between symbols and pairs, and calculate the effects of symbols and pairs on each other. Therefore, there is a need in an art for a system and method for detecting most prosperous trading patterns, and develops multiple strategies by applying powerful indicators and trading patterns with high success rate.